Retirement Security

Rep. Holt discusses the state of the Social Security program with residents of Eatontown during the national debate over President Bush's Social Security privatization initiative in 2005. (Spring, 2005)

Social Security continues to serve Americans well. It provides a foundation of retirement income which permits seniors to live in dignity and helps relieve younger family members of the obligation for their support. Without Social Security, half of all seniors would fall into poverty. In addition, Social Security is more than just a retirement program. In fact, 38% of all Social Security benefit dollars goes to disabled individuals, spouses of retired and disabled workers, dependent children and survivors.

The creation of Social Security was bold in 1935 and some have been critical of it ever since despite compiled evidence of its success. Critics of Social Security have presented exaggerated and even false claims about the finances of Social Security, and they have created an elaborate budgetary shell game to hide the true costs of President Bush’s 205 Social Security privatization proposal: a $2 trillion hole that would have to be financed by saddling younger generations with more debt, increased payroll taxes, and decreased benefits to current retirees. (In 2005, I sponsored a series of forums in New Jersey that examined the President’s proposal in detail, alternatives for restoring the system’s long-term solvency, and testimonials from individuals and organizations about the value of Social Security. To review those materials, click here.)

Though you would not know it from all the hyperbole in the current debate, Social Security is in pretty good shape. According to the two independent trustees overseeing the Social Security and Medicare programs, without any changes at all, the Social Security program can pay all benefits through at least 2041. The current system could be made financially sound for the indefinite future with adjustments in the tax code far more modest than those enacted in 1983. Those adjustments could be selected from a list of possibilities affecting the income to Social Security or its outlays. I also believe that because Social Security goes to almost everyone, it helps to create an important sense of national community. Social Security helps to tie this country together. We must not forget that as we consider a you-are-on-your-own system of riskier investments. I will work hard to strengthen Social Security’s long-term finances so that it continues to provide a reliable, guaranteed base of retirement, disability and survivor’s income.

Holt statements on Social Security

• Holt floor remarks on the need to preserve Social Security, March 8, 2005

Holt-sponsored legislation on Social Security

• H.R.116
  Social Security and Medicare Lock-box Act of 2005.
  
  The bill would mandate that Congress could not spend any Social Security or Medicare trust fund money on any other projects until the long-term funding issues surrounding both programs are resolved. 
  
  
• H.R.1649
  To amend title XIX of the Social Security Act to require staff working with developmentally disabled individuals to call emergency services in the event of a life-threatening situation.
  
  The bill, which is based on New Jersey’s “Danielle’s Law,” would require direct care staff who are providing health-related services to persons with developmental disabilities or traumatic brain injury to call the 911 emergency telephone service for assistance anytime one of their patients experiences a life-threatening emergency and to report the call to the appropriate State agency or department. Medical providers who fail to implement these regulations would lose Medicare funding. To read the full press release on this bill, click here.
  
  
• H.R.2746
  To amend title XVIII of the Social Security Act to ensure that benefits under part D of such title have no impact on benefits under other Federal programs.
  
  The bill is designed to fix a flaw in the Medicare Modernization Act that eliminates low-income seniors’ food stamp eligibility if they opt to receive assistance with their prescription drugs.  Holt’s legislation would ensure that participation by low-income seniors in the new Medicare prescription drug benefit will not affect eligibility for food stamps or other federal assistance programs. To read the press release on this bill, click here.
  

Links

A number of organizations have weighed in on the debate over Social Security's future. Below are links to important reports on Social Security reform proposals that you may find helpful:

• Center for Budget and Policy Priorities
• American Association of Retired Persons
• AFL-CIO
• Center for Economic and Policy Research
• Center for American Progress
• The Century Foundation
• Help with Social Security problems
• Social Security Administration